G. WILLI-FOOD INTERNATIONAL REPORTS THE RESULTS OF THIRD QUARTER 2025

REPORTS AN IMPROVEMENTS IN ITS GROSS AND OPERATING PROFIT AND MARGINS.

YAVNE, Israel, Nov. 17, 2025 /PRNewswire/ -- G. Willi-Food International Ltd. (NASDAQ: WILC) (the "Company" or "Willi-Food"), a global company that specializes in the development, marketing and international distribution of kosher foods, today announced its unaudited financial results for the third quarter ended September 30, 2025.

Third Quarter Fiscal Year 2025

Management Comment

Zwi Williger & Joseph Williger, Chairman & CEO, respectively, of Willi-Food, commented:

"We are pleased to present G. Willi-Food International's third quarter 2025 results, as well as strong results for the nine-month period ended September 30, 2025. The Company delivered improved gross and operating profit margins compared to the same periods last year, alongside strong sales performance.

"Despite approximately three fewer working days during the quarter, we succeeded in maintaining the same level of sales, reflecting the strength and resilience of our operations.

"Following the cessation of the war in Gaza, the decline in exchange rates have further supported our ability to improve import prices and strengthen the competitive alternative that Willi-Food offers to the market. The constructed new refrigerated logistics center is progressing as planned, and we expect to open the center toward the end of the first quarter of 2026. This advanced facility represents a significant milestone for the Company, as it is expected to enhance our logistical capabilities to support entry into new food categories, increase product availability, expand existing lines, and achieve meaningful cost efficiencies.

"We remain optimistic about the continued positive momentum, driven by our operational excellence, strategic investments, and the dedication of our team, as we continue to build long-term value for our shareholders."

Third Quarter Fiscal 2025 Summary

Sales for the third quarter of 2025 were NIS 152.8 million (US$ 46.2 million). The Company maintained the same level of sales compared to third quarter of 2024 despite a lower number of working days in the quarter compared to the corresponding period last year.

Gross profit for the second quarter of 2025 increased by 2.6% to NIS 43.1 million (US$ 13.0 million), or 28.2% of revenues, compared to NIS 42.0 million (US$ 12.7 million), or 27.5% of revenues in the third quarter of 2024. The increases in gross profit and gross margins were due to the Company's efforts to improve its commercial terms with its suppliers and focusing on selling a more profitable products portfolio.

Selling expenses for the third quarter of 2025 were NIS 18.0 million (US$ 5.4 million), remaining at the same level compared to third quarter of 2024.

General and administrative expenses for the third quarter of 2025 were NIS 6.9 million (US$ 2.1 million), remaining at the same level compared to third quarter of 2024.

Operating profit for the third quarter of 2025 increased by 4.1% to NIS 18.3 million (US$ 5.5 million), compared to NIS 17.6 million (US$ 5.3 million) in the third quarter of 2024. The increase was primarily due to the increase in gross profit.

Financial income, net for the third quarter of 2025 totaled NIS 6.7 million (US$ 2.0 million), compared to NIS 9.1 million (US$ 2.6 million) in the third quarter of 2024. Financial income for the third quarter of 2025 was comprised mainly from revaluation of the Company's portfolio of securities to in the amount of NIS 5.4 million (US$ 1.6 million) and from interest and dividend income from the Company's portfolio of securities in an amount of NIS 2.0 million (US$ 0.6 million).

Willi-Food's income before taxes for the third quarter of 2025 was NIS 25.0 million (US$ 7.6 million), compared to NIS 26.7 million (US$ 8.1 million) in the third quarter of 2024.

Willi-Food's net profit in the third quarter of 2025 was NIS 19.2 million (US$ 5.8 million), or NIS 1.4 (US$ 0.4) per share, compared to NIS 20.8 million (US$ 6.3 million), or NIS 1.5 (US$ 0.5) per share, in the third quarter of 2024.

Willi-Food ended the third quarter of 2025 with NIS 225.4 million (US$ 68.2 million) in cash and securities. Net cash resulted from operating activities for the third quarter of 2024 was NIS 225.7 million (US$ 68.3 million).

First Nine Months Fiscal 2025 Highlights

First Nine Months Fiscal 2025 Summary

Sales for the nine-month period ending September 30, 2025, increased by 5.2% to NIS 458.2 million (US$ 138.6 million), compared to NIS 435.5 million (US$ 131.7 million) recorded in the first nine months of 2024. The Company attributes the growth in sales primarily to an increase in inventory levels and improved product availability, which supported the growing demand for its products. The increase also reflects higher demand for the Company's product portfolio and an increase in private label sales for large retail chains.

Gross profit for the first nine months of 2025 increased by 7.5% to NIS 131.7 million (US$ 39.8 million), or 28.7% of revenues, compared to NIS 122.5 million (US$ 37.1 million), or 28.1% of revenues, in the first nine months of 2024. The increases in gross profit and gross margins were due to the increase in the Company's sales and due to the Company's efforts to improve its commercial terms with its customers and suppliers and focusing on selling a more profitable products portfolio.

Selling expenses for the first nine months of 2025 decreased by 1.7% to NIS 51.9 million (US$ 15.7 million), compared to NIS 52.8 million (US$ 16.0 million) in the first nine months of 2024. The decrease was mainly due to reduce in advertising and promotion expenses.

General and administrative expenses for the first nine months of 2025 increased by 8.7% to NIS 21.1 million (US$ 6.4 million), compared to NIS 19.4 million (US$ 5.9 million). The increase was mainly due to the provision for profit-based compensation to senior management resulting from the increase in operating profit and from share-based payment program.

Operating profit before other expenses (income) for the first nine months of 2025 increased by 16.7% to NIS 58.8 million (US$ 17.8 million), compared to NIS 50.4 million (US$ 15.2 million) in the first nine months of 2024. The increase was primarily due to the increase in gross profit.

There were no other expenses for the first nine months of 2025. Other expenses for the corresponding period were NIS 11.6 million (US$ 3.5 million) in respect of the agreement reached by the Company with the Israel Competition Authority for the payment of an administrative fine. For further details, please see the Company's report on Form 6-K submitted to the Securities and Exchange Commission on July 17, 2024.

Operating profit after other expenses (income) for the first nine months of 2025 increased by 51.6% to NIS 58.9 million (US$ 17.8 million), compared to NIS 38.8 million (US$ 11.7 million) in the first nine months of 2024. The increase was primarily due to the increase in gross profit, a decrease in operating expenses, and the administrative fine of NIS 11.6 million (US$ 3.1 million) recorded in the first half of 2024.

Financial income, net for the first nine months of 2025 totaled NIS 31.9 million (US$ 9.6 million), compared to NIS 23.2 million (US$ 7.0 million) in the first nine months of 2024. Financial income, net for the first nine months of 2025 was comprised mainly from revaluation of the Company's portfolio of securities to in the amount of NIS 25.1 million (US$ 7.6 million) and from interest and dividend income from the Company's portfolio of securities in an amount of NIS 9.0 million (US$ 2.7 million).

Willi-Food's income before taxes for the first nine months of 2025 was NIS 90.8 million (US$ 27.5 million), compared to NIS 62.1 million (US$ 18.8 million) in the first nine months of 2024.

Willi-Food's net profit in the first nine months of 2025 was NIS 70.6 million (US$ 21.3 million), or NIS 5.1 (US$ 1.5) per share, compared to NIS 46.2 million (US$ 14.0 million), or NIS 3.3 (US$ 1.0) per share, recorded in the first nine months of 2024.

NOTE A: NIS to US$ exchange rate used for convenience only

Convenience translation of New Israeli Shekels (NIS) into U.S. dollars was made at the rate of exchange prevailing on September 30, 2025, with U.S. $1.00 equal to NIS 3.306. The translation is made solely for the convenience of the reader.

NOTE B: IFRS

The Company's consolidated financial results for the three-month period ended September 30, 2025 are presented in accordance with International Financial Reporting Standards ("IFRS").

ABOUT G. WILLI-FOOD INTERNATIONAL LTD.

G. Willi-Food International Ltd. ( http://www.willi-food.com) is an Israeli-based company specializing in high-quality, great-tasting kosher food products. Willi-Food is engaged directly and through its subsidiaries in the design, import, marketing and distribution of over 650 food products worldwide. As one of Israel's leading food importers, Willi-Food markets and sells its food products to over 1,500 customers and 3,500 selling points in Israel and around the world, including large retail and private supermarket chains, wholesalers and institutional consumers. The Company's operating divisions include Willi-Food in Israel and Euro European Dairies, a wholly owned subsidiary that designs, develops and distributes branded kosher, dairy-food products.

FORWARD LOOKING STATEMENT

This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 relating to future events or our future performance, such as statements regarding trends, demand for our products, expected sales, operating results, and earnings. Forward-looking statements include statements regarding the construction of the Company's new logistics center and its expected benefits. Forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause our actual results, levels of activity, performance, or achievements to be materially different from any future results, levels of activity, performance, or achievements expressed or implied in those forward-looking statements. These risks and other factors include, but are not limited to: delays in the construction of the Company's new logistics center and the risk that its expected benefits will not materialize; inability to sustain improvements and growth in the future; monetary risks including changes in marketable securities or changes in currency exchange rates, especially the NIS/U.S. Dollar exchange rate; payment default by any of our major clients; the loss of one or more of our key personnel; changes in laws and regulations, including those relating to the food distribution industry; and inability to meet and maintain regulatory qualifications and approvals for our products; termination of arrangements with our suppliers; loss of one or more of our principal clients; increase or decrease in global purchase prices of food products; increasing levels of competition in Israel and other markets in which we do business; changes in political, economic, and military conditions in Israel, particularly the recent war in Israel; economic conditions in the Company's core markets; delays and price increases due to the attacks on global shipping routes in the Red Sea; our inability to accurately predict consumption of our products and changes in consumer preferences; our inability to protect our intellectual property rights; our inability to successfully integrate our recent acquisitions; insurance coverage not sufficient to cover losses of product liability claims; risks associated with product liability claims; and risks associated with the start of credit extension activity. We cannot guarantee future results, levels of activity, performance, or achievements. The matters discussed in this press release also involve risks and uncertainties summarized under the heading "Risk Factors" in the Company's Annual Report on Form 20-F for the year ended December 31, 2024, filed with the Securities and Exchange Commission on March 17, 2025. These factors are updated from time to time through the filing of reports and registration statements with the Securities and Exchange Commission. We do not assume any obligation to update the forward-looking information contained in this press release.

G. WILLI-FOOD INTERNATIONAL LTD.

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited)

September 30,

December 31

September 30,

December 31

2 0 2 5

2 0 2 4

2 0 2 5

2 0 2 4

NIS

US dollars (*)

(in thousands)

ASSETS

Current assets

Cash and cash equivalents

104,449

111,262

122,938

31,594

33,655

37,186

Financial assets carried at fair value

through profit or loss

120,920

114,437

123,189

36,576

34,615

37,262

Trade receivables

173,476

178,047

171,331

52,473

53,856

51,824

Other receivables and prepaid expenses

4,034

9,543

7,384

1,220

2,887

2,234

Inventories

108,411

97,796

98,234

32,792

29,581

29,714

Current tax assets

1,569

5,385

744

475

1,629

225

Total current assets

512,859

516,470

523,820

155,130

156,223

158,445

Non-current assets

Property, plant and equipment

197,167

154,438

168,217

59,639

46,714

50,882

Less - Accumulated depreciation

61,975

58,035

58,349

18,746

17,554

17,649

135,192

96,403

109,868

40,893

29,160

33,233

Right of use asset

4,948

4,504

4,814

1,497

1,362

1,456

Financial assets carried at fair value

through profit or loss

50,113

45,851

47,842

15,158

13,869

14,471

Goodwill

Total non-current assets

190,289

146,794

162,560

57,559

44,402

49,171

703,148

663,264

686,380

212,689

200,625

207,616

EQUITY AND LIABILITIES

Current liabilities

Current maturities of lease liabilities

2,181

2,112

2,179

660

639

659

Trade payables

27,402

30,968

28,203

8,289

9,367

8,531

Employees Benefits

4,531

4,264

4,532

1,371

1,290

1,371

Other payables and accrued expenses

17,827

25,932

25,015

5,392

7,844

7,566

Total current liabilities

51,941

63,276

59,929

15,712

19,140

18,127

Non-current liabilities

Lease liabilities

2,931

2,684

2,521

887

812

763

Deferred taxes

12,558

7,455

9,888

3,799

2,255

2,991

Retirement benefit obligation

1,102

1,055

1,102

333

319

333

Total non-current liabilities

16,591

11,194

13,511

5,019

3,386

4,087

Shareholders' equity

Share capital

1,491

1,490

1,491

451

Additional paid in capital

174,101

172,981

173,062

52,661

52,324

52,348

Remeasurement of the net liability in

respect of defined benefit

(256)

(154)

(256)

(77)

(47)

(77)

Capital fund

247

Retained earnings

459,661

414,858

439,024

139,038

125,486

132,795

Treasury shares

(628)

(190)

Equity attributable to owners of the

Company

634,616

588,794

612,940

191,958

178,099

185,402

703,148

663,264

686,380

212,689

200,625

207,616

(*) Convenience translation into U.S. dollars.

G. WILLI-FOOD INTERNATIONAL LTD.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

Nine months

Three months

Nine months

ended

September 30,

2 0 2 5

2 0 2 4

2 0 2 5

2 0 2 4

2 0 2 5

2 0 2 4

NIS

US dollars (*)

In thousands (except per share and share data)

Sales

458,169

435,493

152,849

152,799

138,587

131,728

Cost of sales

326,424

312,956

109,781

110,837

98,737

94,663

Gross profit

131,745

122,537

43,068

41,962

39,850

37,065

Operating costs and expenses:

Selling expenses

51,874

52,758

17,955

17,707

15,691

15,958

General and administrative expenses

21,090

19,410

6,919

6,725

6,379

5,871

Operating profit before other expenses (income)

58,781

50,369

18,194

17,530

17,780

15,236

Other expenses (income)

(95)

11,522

(95)

(47)

(29)

3,485

Operating profit after other expenses (income)

58,876

38,847

18,289

17,577

17,809

11,751

Financial income

34,052

24,568

7,448

9,416

10,300

7,431

Financial expense

(2,149)

(1,345)

(726)

(314)

(650)

(407)

Total financial income

31,903

23,223

6,722

9,102

9,650

7,024

Income before taxes on income

90,779

62,070

25,011

26,679

27,459

18,775

Taxes on income

(20,223)

(15,919)

(5,834)

(5,929)

(6,117)

(4,815)

Profit for the period

70,556

46,151

19,177

20,750

21,342

13,960

Earnings per share:

Basic earnings per share

5.07

3.33

1.38

1.50

1.53

1.01

Diluted earnings per share

5.06

3.33

1.38

1.50

1.53

1.01

Shares used in computation of

basic EPS

13,923,365

13,867,017

13,923,365

13,867,017

13,923,365

13,867,017

Shares used in computation of

diluted EPS

13,940,365

13,867,017

13,940,365

13,867,017

13,940,365

13,867,017

Actual number of shares

13,923,365

13,867,017

13,923,365

13,867,017

13,923,365

13,867,017

(*) Convenience translation into U.S. dollars.

G. WILLI-FOOD INTERNATIONAL LTD.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited)

Nine months

Three months

Nine months

ended

September 30,

2 0 2 5

2 0 2 4

2 0 2 5

2 0 2 4

2 0 2 5

2 0 2 4

NIS

US dollars (*)

(in thousands)

CASH FLOWS - OPERATING ACTIVITIES

Profit from continuing operations

70,556

46,151

19,177

20,750

21,342

13,960

Adjustments to reconcile net profit to net cash used

to continuing operating activities (Appendix A)

(31,767)

(30,029)

17,063

10,323

(9,611)

(9,083)

Net cash from continuing operating activities

38,789

16,122

36,240

31,073

11,731

4,877

CASH FLOWS - INVESTING ACTIVITIES

Acquisition of property plant and equipment

(4,356)

(4,278)

(2,553)

(804)

(1,318)

(1,294)

Acquisition of property plant and equipment under

construction

(25,093)

(29,399)

(6,897)

(11,137)

(7,590)

(8,893)

Proceeds from sale of property plant and Equipment

143

Proceeds from sale of marketable securities, net

24,647

1,074

3,887

(3,138)

7,455

325

Net cash used in (from) continuing investing

activities

(4,707)

(32,460)

(5,468)

(15,052)

(1,424)

(9,819)

CASH FLOWS - FINANCING ACTIVITIES

Lease liability payments

(1,427)

(1,513)

(439)

(426)

(432)

(458)

Dividend

(49,919)

(9,982)

(19,966)

(15,100)

(3,019)

Net cash used in continuing financing activities

(51,346)

(11,495)

(20,405)

(426)

(15,532)

(3,477)

Increase (decrease) in cash and cash equivalents

(17,264)

(27,833)

10,367

15,595

(5,222)

(8,419)

Cash and cash equivalents at the beginning of

the financial period

122,938

137,466

94,334

94,972

37,186

41,581

Exchange gains (loss) on cash and cash equivalents

(1,225)

1,629

(252)

695

(371)

493

Cash and cash equivalents of the end of the

financial year

104,449

111,262

104,449

111,262

31,594

33,655

(*) Convenience Translation into U.S. Dollars.

G. WILLI-FOOD INTERNATIONAL LTD.

APPENDIX A TO CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited)

CASH FLOWS - OPERATING ACTIVITIES :

A. Adjustments to reconcile net profit to net cash from operating activities:

Nine months

Three months

Nine months

ended

September 30,

2 0 2 5

2 0 2 4

2 0 2 5

2 0 2 4

2 0 2 5

2 0 2 4

NIS

US dollars (*)

(in thousands)

Increase in deferred income taxes

2,670

2,587

549

1,374

808

783

Unrealized gains on marketable

securities

(24,646)

(13,058)

(5,293)

(6,237)

(7,457)

(3,950)

Depreciation and amortization

5,829

5,583

2,056

2,939

1,763

1,689

Stock based compensation reserve

1,039

392

615

101

314

119

Capital gain on disposal of property

plant and equipment

(95)

(143)

(95)

(143)

(29)

(43)

Exchange loss (gain) on cash and

cash equivalents

1,225

(1,629)

252

(695)

371

(493)

Changes in assets and liabilities:

Decrease (increase) in trade

receivables and other receivables

17,135

(1,764)

23,819

(425)

5,183

(534)

Decrease (increase) in inventories

(10,177)

(35,321)

8,082

24,112

(3,079)

(10,684)

Increase (decrease) in trade and other

payables, and other current

liabilities

(7,990)

24,495

(5,706)

(6,093)

(2,417)

7,409

Cash generated from (used in)

operations

(15,010)

(18,858)

24,279

14,933

(4,543)

(5,704)

Income tax paid

(16,757)

(11,171)

(7,216)

(4,610)

(5,068)

(3,379)

Net cash flows from (used in)

operating activities

(31,767)

(30,029)

17,063

10,323

(9,611)

(9,083)

(*) Convenience Translation into U.S. Dollars.

This information is intended to be reviewed in conjunction with the Company's filings with the Securities and Exchange Commission.

Company Contact:

G. Willi - Food International Ltd.

Yitschak Barabi, Chief Financial Officer

(+972) 8-932-1000

itsik.b@willi-food.co.il

Logo: https://mma.prnewswire.com/media/959267/G_Willi_Food_International_Logo.jpg

SOURCE G. Willi-Food International Ltd.